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Nigeria Liquefied Natural Gas Limited (NLNG) has announced that it has supplied a cumulative total of 3 million metric tons of Liquefied Petroleum Gas (LPG) to the domestic market since the launch of its Domestic LPG Scheme (DLPG) in 2007 through to 2024.
Dr. Philip Mshelbila, NLNG’s Managing Director, shared this milestone at the 2024 annual conference of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) in Lagos. The event, themed “Sustainable Energy Growth in Nigeria – LPG and the Future,” focused on the nation’s energy landscape. Mshelbila, represented by Mr. Ahmed Joda, NLNG’s Manager for Marketing and Business Development, emphasized the company’s dedication to meeting local LPG needs.
He noted that NLNG, which operates a six-train plant on Bonny Island, has steadily increased its supply from over 50,000 metric tons in 2007 to approximately 450,000 metric tons in 2024. He highlighted the domestic market’s significant growth, with current LPG consumption reaching about 1.5 million metric tons annually.
Mshelbila stated, “NLNG is fully committed to ensuring LPG serves the Nigerian consumers’ needs. This commitment began with the launch of the DLPG scheme in 2007, aimed at enhancing the quality of life for Nigerians. Since then, we’ve seen consumption grow to around 1.5 million metric tons annually.”
Despite the sector’s successes, Mshelbila outlined several challenges, including supply reliability, infrastructure deficits, and pricing concerns, which have slowed the sector’s desired growth. He affirmed NLNG’s dedication to collaborating with industry stakeholders to tackle these issues.
At the same conference, the federal government reaffirmed its goal of increasing Nigeria’s LPG consumption to 5 million metric tons by 2030. Minister of State for Petroleum (Gas), Ekperikpe Ekpo, represented by Senior Technical Adviser Abel Nsa, emphasized the government’s focus on fostering investment, expanding infrastructure, and supporting policies to boost LPG affordability and availability.
Ekpo stressed that expanding LPG use would reduce dependence on biomass for cooking, improve public health in rural areas, and stimulate economic growth. He reiterated, “The government aims to raise LPG consumption to 5 million metric tons per year by 2030, which will require infrastructure development, market stability, and policies that attract investment in the LPG value chain.”
He also highlighted that increasing LPG usage could lessen the strain on other energy resources and buffer the country against global market fluctuations. To support this, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has been instructed to create a pricing framework that reflects local production and ensures affordability.
In a related development, Techno Gas Limited, a subsidiary of Techno Oil Limited, confirmed receiving its first LPG supply from NLNG at its 5,000MT storage facility in Kirikiri, Lagos. The company made the announcement during the conference, though it did not disclose the specific volume supplied.
